Pros and Cons Before To Consider Before You Apply for a Medical Loan?

Should You Apply for a Medical Loan?

Many believe that the health care industry is too expensive in America; using just a few services at the hospital can cause you to wreck up hundreds and thousands of dollars in medical bills. Middle class people usually don’t have that much money in their savings account so they will have to owe the hospital their medical bills. It also isn’t easy to win a claim with the health insurance company. They will carry out a long investigation and get you to wait for long before giving you an answer. It will be faster if you get a medical loan to pay your medical bills.

A medical loan is ideal for people who don’t have medical insurance to cover their hospital bills. You can also get a medical loan if your insurance company only covers a partial cost of your bill. In addition, not all types of treatment are supported by your insurance. Some treatments like cancer and eye treatments are not covered by insurance. There is also no limit on which hospital you must receive treatment to get the coverage. The loan amount from your medical loans can cover minor expenses like a checkup.

It’s A Good Idea To Review All Of Your Financial Options With A Financial Planner Before Applying For A Loan

The facility where you receive treatment may have partnerships with lenders that offer medical loans so you can apply for a loan through them. However, it is important to review the financing terms before deciding to sign up for the loan. Alternatively, you can also take out a personal loan from a credit union or online lender to pay for your medical bills.

It is more suitable to use a personal loan than a credit card if you have an expensive medical bill that costs more than $20,000. There is a balance transfer card with a zero percent introductory rate but you must remember that the intro rate will expire in 2 years. If you have a huge medical bill, it may not be possible for you to repay the loan in 2 years which makes balance transfer credit card, not an ideal option.

With a medical loan, you can receive the money in your account within the next business day. This makes it ideal for people who need money for a medical emergency. You should consider getting a personal loan prior to receiving care at the hospital. However, you have to first find out from your doctor the exact amount of money that is needed for the medical procedure you are undergoing and the expenses for future care. On the other hand, if you owe medical bill payment to several facilities, you can get a personal loan to consolidate them.

Taking out a medical loan can prevent interruption in your financial planning. You may have other investments and bank savings that you don’t want to withdraw. For example, you have savings in your account that you want to use for funding your children’s education. By applying for a personal loan, it will take off stress on your mind about withdrawing all the money in your bank account to pay for your medical bills.

Submitted By:

Jeff Graveline

Columnist, AGT News

Degree In Finance and Economics, University of Florida 2002